04-10-2006 VC SP-MMINUTES OF THE SPECIAL JOINT MEETING
• VILLAGE COUNCIL AND COUNTRY CLUB ADVISORY BOARD
OF NORTH PALM BEACH, FLORIDA
APRIL 10, 2006
Village Council
David B. Norris, Mayor
Dr. Edward M. Eissey, Vice Mayor
William Manuel, President Pro Tem
Charles R. O'Meilia, Councilman
Manny Grinn, Councilman
Mark Bates, Village Manager
George Baldwin, Village Attorney
Melissa Teal, CMC, Village Clerk
Country Club Advisory Board
Lou Piccioli, Chairman
Sandy Finck, Secretary
John Archetti, Member
Jim Bender, Member
Joseph O'Hagan, Member
Rosemary Truesdell, Member
ROLL CALL
All members of Council were present. All members of the Country Club Advisory Board were
present. All members of star were present. The Village Council and Country Club Advisory
Board observed a moment of silence in memory of Greg Karambelas, Country Club Advisory
Board member who recently passed away.
COUNTRY CLUB GOLF COURSE RENOVATION PROJECT
Village Manager Mark Bates announced that in preparation for a decision on the golf course
renovation, the joint meeting is so that the Village Council may obtain final input and questions
and answers from the Country Club Advisory Board and to allow members of the public to share
their ideas, questions, and concerns about the project.
Mr. Bates reported that construction bid proposals for renovation of the golf course were
received on 3/15/06, and Nicklaus Design, Village Administration, and the low bidder, Quality
Grassing, have met to discuss ways to refine, enhance and reduce the price of the project.
Mr. Bates advised that a final contract will be presented to the Village Council on 4/13/06.
Paul Stringer, Senior Vice President of Business Development for Nicklaus Design Group,
addressed the Council and Country Club Advisory Board regarding redesign of the golf course.
Village Project Manager Charles Cangianelli gave an update on the irrigation system and water
usage, and advised that the pipe from the Earman River is large enough to handle the volume.
Mr. Bates reviewed the impact of the hurricanes on other golf course undergoing renovation at
that time. Mr. Bates advised that our present insurance policy does not include business
interruption insurance. Mr. Bates discussed the risk exposure for a storm event during the period
• of grass grow-in and the cost of insurance to cover that contingency. Mr. Bates reported that the
estimated premium for that insurance would be $150,000 to $180,000, and noted that none of the
surrounding courses who considered this during their renovation opted for that coverage.
MINUTES OF SPECIAL JOINT MEETING
VILLAGE COUNCIL AND COUNTRY CLUB ADVISORY BOARD
HELD APRIL 10, 2006
•
Mr. Bates noted that based on staff recommendations and discussions with Nicklaus Design and
Quality Grassing, the total contract price has dropped from $4.4 million to $3.8 million.
Discussion took place concerning the type and extent of cart paths.
Mr. Bates reviewed the debt coverage and noted that as the project progresses, consideration
could be given to expanding the cart paths and landscaping.
Country Club Advisory Board Chairman, Lou Piccioli, reviewed the history of this issue and
ranking of the design firms by the Country Club Advisory Board and ad hoc committee.
Mr. Bates advised that the financial budget reflects a 10% increase in revenue for the entire club,
not a 10% increase in fees. Mr. Bates noted that how the revenue goal is achieved will be up to
the Council and Country Club Advisory Board during the upcoming budgeting process.
A discussion of the greens with regard to onsite versus offsite sand took place. Mr. Stringer
briefly reviewed maintenance needs of types of grass.
Discussion was held regarding the length of the course as it now exists and as proposed.
Discussion took place concerning the price for FPL to run power underground.
1VIr. Bates reviewed the total loan amount of $4;893;673, and advised that increasing the linear
feet of cart paths would increase the cost by approximately $150,000 to $5.05 million.
Consensus of Council was to go with the staff recommendation on limited cart paths.
RANKING OF GOLF COURSE RESTORATION BIDS
Vice Mayor Eissey moved to rank golf course construction renovation bid proposals of Quality
Grassing as #1 and Wadsworth Golf as #2, and direct Administration and Village Attorney to
prepare final contract documents with top ranked firm for Council consideration. President Pro
Tem Manuel seconded the motion. During discussion, it was clarified that the final contract will
be a unit price contract. Discussion ensued on arbitration. Mr. Baldwin advised that the
arbitration clause was in the contract in the bid specifications, however it can be deleted if the
contractor agrees. Thereafter, the motion passed unanimously.
RANKING OF BANK QUALIFIED BID PROPOSALS
Vice Mayor Eissey moved to approve ranking of bank qualified loan bid proposals and direct
Administration, Financial Advisor and Village Loan Counsel to prepare loan documents with top
ranked financial institution for Council consideration. President Pro Tem Manuel seconded the
motion. Discussion took place concerning negotiation of the bank loan. Mr. Bates reported that
• the Village's financial advisor felt that the proposal from Bank of America represented the best
rate obtainable. Discussion took place concerning the interest rate.
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MINUTES OF SPECIAL JOINT MEETING
VILLAGE COUNCIL AND COUNTRY CLUB ADVISORY BOARD
HELD APRIL 10, 2006
•
Councilman Grinn moved to table this item until April 13, 2006. President Pro Tem Manuel
seconded the motion, which failed 2 - 3, with Councilman Grinn and President Pro Tem Manuel
voting aye, and Councilman O'Meilia, Vice Mayor Eissey, and Mayor Norris opposed.
Discussion ensued on the security for the loan. Mr. Bates reported that the loan documents will
require repayment of the loan to be budgeted each year in the Country Club Budget, as the
primary repayment, along with a covenant to budget and appropriate from the General Fund
Budget as a secondary guarantee of the loan. Council asked Mr. Bates to verify with the bank
the meaning of the language regarding security. Discussion took place on the amount of the
loan, and prepayment penalty. Mr. Bates noted that the recommendation is for an 18 year loan.
Vice Mayor Eissey left the meeting at 9:22 p.m.
Thereafter, the motion passed 4 - 0, with Councilman Grinn, Councilman O'Meilia, President Pro
Tem Manuel, and Mayor Norris in favor.
Mayor Eissey returned to the meeting.
ADJOURNMENT
With no further business to come before the Council, the meeting adjourned at 9:25 p.m.
%~~~ T~~~~~~
Melissa Teal, CMC, Village Clerk
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